Closed/sold loan account killing my credit.

[HautePinQ]

Ok, so I have been lurking for a while and this is my first time posting a topic. This is really eating at me, and my credit. I had a student loan that was opened in 2006 with citi, it reports as two loans. I have about 14 lates on there. It was sold to Sallie Mae. I had  some lates with Sallie Mae as well. So now,  I have 4 late accounts reporting every month. My loans never went into default, and I'm current on my payments  with Sallie Mae. Can someone please point me in the right direction? these are the only baddies on my report, but they are doing MAJOR damage.

[Anonymous]

You can try to contact the lenders and ask if they can remove the lates. If you are current now they may work with you. The problem with the lates is they show on the credit report for 7 years from the date of the last delinquency. How long has it been since you were late on a payment?

[HautePinQ]

It's been amost two years since I have been late.

[Anonymous]

There are some sample letters others on the forums have sent to request lates be removed. You may want to search "GW letter" that may help you. I have lates on my report, but mine will be removed as I am rehabbing mine went into collections and I thought it was deferred the whole time. 

[HautePinQ]

I will def look into that. thanks so much.

[AQ]

Are you certain it is not from the date of "first" deliquency, rather than last?

[Anonymous]

I am certain that student loan defaults stay on your report for 7 years from the most recent default. If you opened your loan in 9/2007 and defaulted 10/09 they got caught up and defaulted again in 2012 they have the right to report that delinquency for another 7 years starting from 2012. I am not sure if this is correct for all loans, but for student loans it is. 

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@AQ wrote:

Are you certain it is not from the date of "first" deliquency, rather than last?

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[SCF]

Date of First Delinquincy refers to the date the loan first became late and was never caught up again.  So, in the example above, the DOFD would be whatever date in 2012 the loans went late leading to the default.

[AQ]

OK.  I think I get it.  My loans went into default with Sallie Mae, and while they were in default they were transferred to ECMC, as a collection, and then they showed up as a separate collection account.  I consolidated the ECMC loans.  My Sallie Mae loans were never "caught up" and they stopped reporting lates sometime in 2009. 

Now a good question might be, with the ECMC collection accounts, will those be required to drop at the same time as my Sallie Mae loans, since they are the same debt just transferred to another agency, or do I get hit double: 10 negatives for 5 loans?  The ECMC collections were not "caught up" either, as the consolidation was a new, separate loan.

Unfortunately my Sallie Mae's are still reading something like "claim filed with government/being paid by insurance" which is not true.  I disputed, but they wouldn't change it. 

[Anonymous]

I'm not certain about that. Are you consolidating now? The collection default doesn't necessarily fall off with the original loan I have see some have student loans reporting for over 7 years for some off reason. Did you do any rehabbing? I am not sure how consolidation works. Is it a loan that pays off all of your loans and you then pay that one loan back?

Oddly enough my loans did go into collections, and I only found out by calling Dept Ed. The collection agancy never reported on my cr, but my original does say it is in collections. Something shady happen and of course no one will admit it, but my loan was deferred and someone messed up somewhere because the deferrment was removed for 2 months then put back on then sent to collections. My nightmare will be over in 7 days I make my last rehab payment and pray they clear everything up in the 60 days.